On May 13, Oklahoma passed legislation known as OKHB3594 to protect the rights of its residents to self-custody their digital assets. The bill, signed into law by Governor Kevin Stitt and sponsored by four Republicans, prohibits any restrictions on using self-custody or hardware wallets to store digital assets. This ensures that individuals in Oklahoma have the freedom to control and safeguard their own digital assets without interference from third parties. The legislation also allows Oklahomans to engage in home-based and industrial crypto mining as long as they comply with local noise ordinances. The bill will go into effect on November 1, 2024, and exempts crypto miners from obtaining a money transmitter license.
The Oklahoma self-custody bill emphasizes the importance of protecting fundamental Bitcoin rights, allowing citizens to hold and control digital assets using a hardware wallet. The law also prohibits the state from restricting the use of crypto to purchase legal goods, ensuring that residents have the freedom to use cryptocurrencies as a payment method without facing additional taxes or charges. Additionally, individuals involved in home digital asset mining or operating digital asset mining businesses are not required to acquire a license typically associated with financial transactions. Discriminatory electricity rates for digital asset mining businesses are also outlawed by the bill to ensure fair treatment regarding energy costs.
Countries worldwide, such as South Korea and Spain, are considering confiscating crypto assets for debt collection from taxpayers. In South Korea, tax officials in the city of Pohang revealed plans to seize crypto from residents who failed to pay local taxes. Similarly, the Spanish Ministry of Finance is working on legislative reforms to enable the seizure of digital assets to settle tax debts. The proposed changes would grant the Spanish Tax Agency the authority to identify and control crypto assets owned by taxpayers with outstanding debts. This trend reflects a broader global movement towards using crypto assets for tax collection purposes.
The CEO of Satoshi Act Fund, Dennis Porter, highlighted the significance of Oklahoma’s self-custody bill in protecting individuals’ ability to manage their wealth and control their financial futures. By ensuring that everyone can secure their bitcoin and other assets, the legislation plays a crucial role in empowering residents to create better futures for themselves and their families. The bill also aims to promote economic freedom by allowing residents to use cryptocurrencies as a payment method without facing additional financial burdens solely based on the use of digital assets.
The digital asset self-custody bill in Oklahoma represents a significant milestone in protecting individual rights and freedoms in the digital asset space. By allowing residents to self-custody their digital assets and engage in crypto mining without unnecessary licensing requirements, the legislation fosters innovation and economic empowerment in the state. As other countries explore the possibility of confiscating crypto assets for tax collection, Oklahoma’s proactive approach to protecting fundamental Bitcoin rights sets a positive example for ensuring financial autonomy and security for individuals in the digital age.
